I don't understand why the government don't do more to support these kind of tariffs that incentive demand shifting.. it seems such a powerful way to make the grid greener without huge infrastructure projects
They're very unpopular with consumers, who are allergic to price increases and particularly to variable price increases. Look at the blowback to Wendy's surge pricing on burgers, or to Uber surge pricing, or to toilet paper scalpers in COVID, or to any notion that you might lose your job and need to retrain in a different one in response to changes in the economy.
The last thing a politician wants to do is lose an election, and losing an election is usually what happens when you suggest that the electorate bear the consequences of their behavior. As a result, we usually drive straight off a cliff, have a war or societal collapse, and then whoever survives it can go build a new system out of the rubble.
